Kennametal to Buy Allegheny Technologies' Tungsten Business

PITTSBURGH—Kennametal Inc. is buying Allegheny Technologies Inc.'s tungsten business for $605 million, a deal that sheds light on an obscure but important part of the metals business.

The two western Pennsylvania companies, each of which has a market value above $3 billion, buy scrap and other raw materials and process them into powder coatings, alloys and tools used by manufacturers of everything from mining drills to airplanes.